Us Congress 2023-2024 Regular Session

Us Congress Senate Bill SB3866

Introduced
3/5/24  

Caption

Declaring Our Energy Independence from China Act of 2024

Impact

The bill represents a significant shift in U.S. trade policy, particularly in how it relates to China. With 25% ad valorem duties to be applied on green energy imports for the first year, followed by annual increases, this policy aims to protect U.S. manufacturers from what proponents claim are unfair practices by the Chinese government. The broader implications could touch on local manufacturing, job creation, and even climate policy, as the tension between promoting domestic green energy industries and addressing climate change through international cooperation continues.

Summary

SB3866, titled the 'Declaring Our Energy Independence from China Act of 2024', aims to impose additional duties on imports of green energy goods originating from the People's Republic of China. This legislation recognizes China's dominant role in the green energy market and its substantial control over the supply chain for crucial components like solar panels and batteries. By imposing these tariffs, the bill seeks to enhance U.S. energy independence and reduce reliance on imported green energy products, thereby reinforcing domestic production and stimulating the U.S. economy.

Contention

Notable points of contention surrounding SB3866 arise from concerns about its potential repercussions on both international relations and domestic markets. Critics argue that imposing such tariffs may provoke retaliatory measures from China, which could affect other sectors beyond green energy. Moreover, there are fears that escalating trade tensions may disrupt supply chains and hinder the very climate goals the bill aims to support. Disagreements are also evident in the political landscape, where differing views on economic nationalism versus global cooperation come into play.

Companion Bills

US HB8352

Related Declaring Our Energy Independence from China Act of 2024

Previously Filed As

US HB8352

Declaring Our Energy Independence from China Act of 2024

US HB1167

Keep China Out of Solar Energy Act of 2025

US SB968

Keep China Out of Solar Energy Act of 2023

US SB4026

American Economic Independence Act of 2024

US HB694

Restoring Trade Fairness ActThis bill establishes various trade measures related to China, including by revoking China's permanent normal trade relations (PNTR) status and increasing the rates of duty (i.e., tariffs) on Chinese imported goods. The bill prohibits imported goods originating from North Korea, China, Russia, or Iran from receiving de minimis treatment. (Current law allows for U.S. imports under a de minimis threshold of $800 per shipment to enter free of tariffs, fees, and taxes.)Specifically, the bill revokes China's PNTR status. Currently, China's PNTR status allows for Chinese goods to have duty rates set forth in column 1 of the Harmonized Tariff Schedule of the United States (HTS). With the removal of China's PNTR status, the bill generally sets the applicable duty rates on imported Chinese goods at the higher rates listed in column 2 of the HTS, with exceptions.The bill establishes a minimum duty rate of 35% for all Chinese goods, which requires column 2 rates to be at least 35%. However, the bill establishes a minimum duty rate of 100% for a list of specified goods (e.g., various minerals, certain vaccines and drugs, and certain defense-related articles). Duty rates are phased in over five years and adjusted annually for inflation.The bill alsoauthorizes the President to take additional actions related to trade with China, requires merchandise imported from China to be appraised based on U.S. value, and establishes a trust fund to compensate U.S. producers for lost revenue resulting from retaliatory actions by China.

US SB206

Restoring Trade Fairness ActThis bill establishes various trade measures related to China, including by revoking China's permanent normal trade relations (PNTR) status and increasing the rates of duty (i.e., tariffs) on Chinese imported goods. The bill prohibits imported goods originating from North Korea, China, Russia, or Iran from receiving de minimis treatment. (Current law allows for U.S. imports under a de minimis threshold of $800 per shipment to enter free of tariffs, fees, and taxes.)Specifically, the bill revokes China's PNTR status. Currently, China's PNTR status allows for Chinese goods to have duty rates set forth in column 1 of the Harmonized Tariff Schedule of the United States (HTS). With the removal of China's PNTR status, the bill generally sets the applicable duty rates on imported Chinese goods at the higher rates listed in column 2 of the HTS, with exceptions.The bill establishes a minimum duty rate of 35% for all Chinese goods, which requires column 2 rates to be at least 35%. However, the bill establishes a minimum duty rate of 100% for a list of specified goods (e.g., various minerals, certain vaccines and drugs, and certain defense-related articles). Duty rates are phased in over five years and adjusted annually for inflation.The bill alsoauthorizes the President to take additional actions related to trade with China, requires merchandise imported from China to be appraised based on U.S. value, and establishes a trust fund to compensate U.S. producers for lost revenue resulting from retaliatory actions by China.

US HB8351

Protecting American Autoworkers from China Act of 2024

US SB4702

Critical Mineral Supply Chain Realignment Act of 2024

US SB5016

Combat Chinese Economic Aggression Act of 2024

US SB4418

China Exchange Rate Transparency Act of 2024

Similar Bills

No similar bills found.